Re: Yellowstone Invites Bids To Provide Lodging, Retail, And Other Visitor Services

The National Park Service has released a prospectus soliciting competitive proposals from businesses interested in providing a wide range of visitor services in Yellowstone National Park.

This concessions contract covers lodging, retail sales, restaurants, and many other visitor services which are currently provided by Xanterra Parks & Resorts, under a contract which expires at the end of November 2013.

In return for a 20-year contract, the successful bidder will be required to invest an estimated $134.5 million in facilities improvements. They include redevelopment of lodging at Canyon, renovation of the Fishing Bridge RV Park, Phase II of the renovation of the Lake Yellowstone Hotel, construction of new concession employee housing at Lake and Old Faithful, rehabilitation of the Mammoth Haynes Photo Shop, and changes necessary to provide year-round lodging at the Mammoth Hot Springs Hotel.

The contract will also require the successful bidder to spend an additional 6-percent of gross revenues on repair and maintenance of assigned facilities, and pay a franchise fee of 4.3-percent or 6.8-percent to the park, depending on other agreed upon contract terms. The current contract holder reported gross receipts of approximately $90 million for calendar year 2011.

An electronic copy of the prospectus and additional information including details of a site visit for potential bidders is available online at http://www.concessions.nps.gov/yell077-13.htm.

I wonder who is going to put out a bid. Xanterra obviously, but I would expect that the other big players such as Delaware North, Aramark, and Forever Resorts is going to give it a shot.

The current concession is primarily split into two different contracts for the primary services. Xanterra operates all the stuff that was run by TW Services. They were operating way back when I first visited Yellowstone in the 80s. It's all the in park lodging, most of the reservable campgrounds, and the assorted stuff that is associated with those services. Their dining and gift shops seem to primarily be in the same buildings that the run their lodging operations.

Then there's the separate buildings that used to be under the operation of Hamilton Stores. They were in business until 2002, when competitive bids were accepted and Delaware North won the contract. DNC would love this if they could provide almost all of the dining in Yellowstone.

This is really Xanterra's signature NPS concession and probably the single biggest concession in NPS. I wouldn't be surprised if one of the other big players gets the contract, but Xanterra isn't going to want to lose it.

I just hope that DNC does not get the contract. Between trips we took to Yellowstone, they took over the some of the stores and restaurents and we could tell the difference in service. I asked some of the employees in one of the stores that had worked there for years how they felt and they hated working for DNC. IMO things in Yosemite have gone hill since DNC took over. If Xanterra does not get it then I hope it will be Forever Resorts.

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parklover
IMO things in Yosemite have gone hill since DNC took over.

I have to agree with you.